Foreign holdings of US Treasuries fell to 9.25 trillion dollars in July, lowest in nine months
MacroDigital Finance
The US Treasury Department reported that total foreign holdings of US government bonds fell by 50.4 billion dollars in July to 9.25 trillion dollars, the lowest level in nine months, or since October 2025. Japan, the largest holder, reduced its holdings by 12.8 billion dollars to 1.1 trillion dollars after intervening in the market to support the yen in July. US Treasury Secretary Scott Bessent told Congress that one reason the United States joined Japan in intervening in the market by buying yen on July 31 was to help reduce the need for Japan to sell the US assets it holds. Meanwhile, the United Kingdom, the second-largest holder, increased its holdings by 58.4 billion dollars to 998.3 billion dollars, and China, the third-largest holder, reduced its holdings by 15.4 billion dollars to 618 billion dollars. The countries that cut their holdings the most were France and Canada, with France reducing by 41.5 billion dollars to 348.4 billion dollars and Canada reducing by 33.3 billion dollars to 426.3 billion dollars.
